The most important number in any business is the number on its price tag. But pricing is more than just a number. Much, much more.
When evaluating where companies sit on my “Roadmap to Best in Class Pricing”, I assess pricing excellence along eleven critically important dimensions, none of which have anything to do with the numbers on a price tag.
Those dimensions include:
a) executive commitment
e) product offerings
g) customer segmentation
h) data, knowledge and information
j) discounting and
With so much to consider beyond just the price point, is it hardly surprising that there is no such thing as the perfect pricing organization, never mind a league table of the companies most admired for their pricing?
Since re-launching PricingProphets.com almost three months ago, the one question we have not been asked is “what price (numbers) should we put on our price tag?”
But we have helped take the stress out of, and provide clarity around, pricing, for numerous companies as they commence their journey to pricing optimization and excellence. We’ve done that by answering the following questions for them…
- What is the best pricing for our branding & positioning in the market?
- How do I design my pricing page to optimise perceptions of value?
- How do I design my menu to optimise perceptions of value?
- Is our pricing model appropriate for our market?
- How can we tell if our introductory offer is appropriate?
- How can we tell if our introductory offer devalues our product?
- We’re proposing 3 different pricing options. Is this sufficient?
- Should we use price incentives or value-adding offers?
- How often can we realistically adjust our prices?
- What is the best way to determine if our price position is cheap?
- What is the best way to determine if our price position is expensive?
- What is the best way to present our pricing?
- What is the best way to leverage our pricing for media attention?
- We’re getting beaten on price: what strategies can we develop to overcome this?
- We need to raise prices: what are your tips on doing this?
- How do I get non-paying customers to start paying?
- How do I create a value-based pricing model?
- How do I simplify my entire pricing model?
Your products and services are not the same as your competitors. Neither are your costs, your channels to markets or your customers.
Your pricing questions may also be different to those mentioned above. But whatever the question, we look forward to answering them for you in 2016.